§ 20. Mr. Bruce-Gardyneasked the Chancellor of the Exchequer in what currency or currencies credits received from the Federal German Republic under recycling arrangements will fall to be repaid.
§ Mr. Roy JenkinsDollars.
§ Mr. Bruce-GardyneI am grateful to the Chancellor for giving us that most welcome information. Even so, would he not agree that these sort of recycling arrangements provide no solution to the continuing problem of the German surplus and that to some extent they make it easier for the Germans to manage a perpetuating surplus on this scale?
§ Mr. JenkinsI think I have answered the main point the hon. Member has in mind, and he was gracious enough to acknowledge that. As to the wider point, I certainly would not regard recycling arrangements as the answer to all problems of international currency alignment, but I think they are desirable in order to neutralise speculative flows which occur from time to time.